KLCI loses 0.59% as US economic growth jitters rattle markets

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KUALA LUMPUR (Oct 2): The FBM KLCI lost 0.59% at the midday break today, in line with the fall at most global markets on jitters over US economic growth.

At 12.30pm, the FBM KLCI fell 9.4 points to 1,580.04.

Losers led gainers by 364 to 162, while 493 counters traded unchanged. Volume was 958 million shares valued at RM582.55 million.

The decliners included Nestle (M) Bhd, Malaysia Airports Holdings Bhd, Public Bank Bhd, Hong Leong Bank Bhd, Petron Malaysia Refining & Marketing Bhd, RHB Bank Bhd, MBM Resources Bhd, PPB Group Bhd, Tenaga Nasional Bhd and Mulpha International Bhd.

The actives included Vsolar Group Bhd, Bumi Armada Bhd, Vivocom International Holdings Bhd, XOX Bhd, MNC Wireless Bhd and Sapura Energy Bhd.

The gainers included ViTrox Corp Bhd, Unisem (M) Bhd, Magni-Tech Industries Bhd, Syarikat Takaful Malaysia Keluarga Bhd, Aeon Credit Service (M) Bhd, Pentamaster Corp Bhd, Toyo Ink Group Bhd and Mega Fisrt Corp Bhd.

Global shares fell to one-month lows on Wednesday after US manufacturing activity tumbled to more than a decade low, sparking worries that the fallout from the US-China trade war is spreading to the US economy, according to Reuters.

A slowdown in US economic growth would remove one of the few remaining bright spots in the global economy and come just as Europe is seen as close to falling into recession, it said.

Affin Hwang Capital Research said the FBM KLCI Index rebounded in yesterday's session, gaining 5.53 points or 0.35% only, closing at 1,589.44.

"The index rebounded higher from the 1,580-1,585 immediate support yesterday, indicating some presence of buyers.

"However, note that the FBM KLCI Index still remains below the 20-day EMA (exponential moving average), which has been acting as a dynamic resistance zone. Price action also remains bearish.

"Anticipate the index to trade sideways within a tight range," it said.